Vender Allowance Consulting

Since 2001, SourceCorp has helped businesses across the nation pay less tax with its Vender Allowance consulting service. As a result of this specialized offering, many businesses have received a significant tax benefit!

What is Vender Allowance Consulting?
If a business currently capitalizes cash discounts, vendor allowances or other volume related trade discounts a significant tax benefit may be available. Simply put, by removing cash and trade discounts from the cost of ending inventory, companies increase current year Cost of Goods Sold (COGS) and defer income recognition until those items in ending inventory are sold.

Also referred to as the “net method”, SourceCorp’s consulting service identifies the applicable cash and trade discount programs, quantifies the amount of discounts attributable to year ending inventory and prepares all IRS correspondence necessary to change the way for which they are accounted. In addition to the above, our service includes:

• Form 3115 preparation
• Negative 481(a) adjustment calculation
• Resulting adjustment to LIFO layers (if on LIFO)
• Assistance with year-end adjustments
• Vender Allowance Annual Look-up service (optional)

For more information about this service, please choose the appropriate link below:

Dealer Discount Consulting - For automotive dealerships

Cash & Trade Discount Consulting - For all other businesses that receive vendor allowances

related links:
SITEMAP
SourceCorp
Cost Segregation
LIFO Accounting
IPIC LIFO
Auto LIFO
LIFO News
Dealer Discount Consulting
Research & Development Tax Credit Consulting
Energy Efficiency Studies